TABLE 5.3 Risk and return of investments in major asset classes, 19272016 T-bills Stocks Arithmetic average Risk premium Standard deviation max min 3.42 NA 3.14 14.71 -0.02 T-bonds 5.51 2.08 8.14 38.07 -8.47 11.91 8.48 19.99 56.38 -43.73 Using Table 5.3 as your guide, what is your estimate of the expected annual HPR on the market index stock portfolio if the current risk- free interest rate is 5.2%? (Round your answer to 2 decimal places.) Expected annual HPR % You manage an equity fund with an expected risk premium of 13.6% and a standard deviation of 50%. The rate on Treasury bills is 6.6%. Your client chooses to invest $120,000 of her portfolio in your equity fund and $30,000 in a T-bill money market fund. What is the expected return and standard deviation of return on your client's portfolio? (Round your answers to 2 decimal places.) % Expected Return Standard Deviation %